Don't Fear China, Celebrate with It

I've posted before on why trade deficits are actually investment surpluses and why Chinese government subsidies actually benefit us. However, after reading this mediocre argument for why we shouldn't fear China, I've decided eradicating fear isn't enough. America should not only not fear China, it should celebrate the amazing progress its made in the last decade. Here's Tyler Cowen first on how far China has to come:

CHINESE labour is still pretty cheap, at least by Western standards. To give an example, the minimum wage in Shenzen—a very active economic area—is still only $160 a month and in other parts of China it runs even lower. It’s not that all Chinese wages are so low but overall China is a much poorer country than most people think. It’s not even close to having the average wages of, say, Mexico.

And here he his again on why we should look forward to more gains:

If Chinese wages are rising, it is because Chinese workers have shown that they are more productive. All the capital investment in China is yielding dividends in terms of greater output per worker and that’s good for virtually everyone.

We benefit from increases in Chinese production in the same way they benefit from production in the US. China is now going through our Gilded Age. Huge national economic growth that will eventually bring up even the poorest citizens. Progress will happen faster for them thanks to the developed world leading way. As I've mentioned before, they are predicted to catch up around 2048. Good for them, good for us.